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You Must Understand Money Before You Can Make Money - Investment - Nairaland

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You Must Understand Money Before You Can Make Money by bettermen: 3:41pm On Jul 04, 2016
Everybody wants money but very few have enough of it. Only few people understand it! The question is: What is money? The dictionary defines money as a medium of exchange of value. Money is also defined as a measure of value. You will notice that the central or key word in the two definitions above is VALUE. The word value means usefulness, benefits, or solutions to problems. Money can therefore be redefined as a medium of exchange of benefits or solutions. Money is a measure of usefulness or benefits.

Going by the new definition of money, it is impossible for money to exist without value. Money is to value what shadow is to an object. While it is possible for an object to exist without shadow, it is impossible for shadow to exist without object!

Money will always be readjusted to the corresponding value or benefit it represents. The reason why most people are perpetually poor is because they are trying to hold onto money without offering corresponding value.

Money was created because of value; therefore value is superior to money. Before money was invented, value was exchanged through trade by barter. You are not poor because you don't have money, you are poor because you lack value or you cannot recognize your value. When you do not have money, if you can recognize, organize and skillfully exchange your values, money will flow into your life automatically!

To attract and retain money in your possession therefore requires the possession and accumulation of significant amount of value. This is because value is to money what river is to a dam of water; once the river stops flowing, the dam eventually runs dry.

It is therefore impossible to permanently cure poverty by the accumulation of large amount of cash or physical assets that are not connected to equivalent sustaining source of value.

Money is always exchanged for the value delivered as solutions to peoples’ problems. The richest people in the world are not university professors or people with loads of certificates. The richest people in the world are those who find the means of delivering and exchanging their value (products) to the greatest number of people.

Look at people like Bill Gates, Ted Turner, and Oprah Winfrey; you will notice a common trend about all of them. They all deliver their products through the widest channels possible to thousands of customers, who gladly give money in exchange for the value received.
Our spending habit plays a very important role in defining our financial status. Money, businesses and investments should be directed towards provision of values and solutions to problems to as many people as possible around us.
SEE ALSO: How To Turn Debt To Financial Freedom

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Re: You Must Understand Money Before You Can Make Money by Darkgini: 6:52am On Jul 05, 2016
This type of thread won't get replies because it simply states the fact without a screaming headline or vulgarity
Re: You Must Understand Money Before You Can Make Money by tushbobo(m): 10:50am On Jul 05, 2016
Good write up. We often forget this basic law.

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